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clock Created with Sketch. 20/04/20
18:55
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Originally posted by stoneplate:
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It's hard to remain optimistic with SRZ (or indeed any stock at present) as markets through the world reel from the vagueries of COVID 19.taking on debt Let's face it. Money is cheap to borrow at this time and the Directors would certainly be hunting around for lenders. The risk to shareholders is that if costs blow-out or the project costs have been "ündercooked" the creditors will recover their money yet shareholders will get to bend over and take the (perhaps even long anticipated) pineapple.selling more equity Save for the occasional float to raise more funds then this cannot be a realistic option for a $3M company. Obviously it would send the value of the existing shares (tell me if I am wrong) about 16 - 17 times lower than their present value. Most of the directors in SRZ are being paid in shares and options and I hope would be very reluctant to do this. other agreements take over This is a real possibility at the existing share prices (n my opinion) but it would mean that one or more of the larger share holders would need to agree to sell. I suspect that like FND, someone would be more willing to take-over a successful operation that can demonstrate and forecast profit, not one that is presently on its knees.
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One positive all around is tin has started to move up from its sad lows past 12 months and similar low as it was 4 years ago. Then it rocketed up 60% in less than 12 months. Lets do it again pls.
(20min delay)